Skip to content
General Real Estate Investing

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts

I have a deal that I'm looking for hard money lender.

Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Posted Nov 15 2022, 09:13

I have found a deal that I am trying to get funded by hard money/private money. I have an investment strategy and multiple exit strategies along with a lot of equity in my primary that I'm willing to use as collateral. I have contacted Flynn Family Lending and waiting to hear back from the application I submitted. I'm looking for a backup plan incase that does not work for me, any suggestions on who to talk to or a route to go for hard money funding? Thanks in advance and I hope to connect with more of the greater Seattle (mostly north) area investors. Stay warm out there!

User Stats

272
Posts
281
Votes
Andrew Bang
Pro Member
  • Lender
  • Texas; Arizona
281
Votes |
272
Posts
Andrew Bang
Pro Member
  • Lender
  • Texas; Arizona
Replied Nov 15 2022, 10:34

Try Ironbridge lending, they are up there in the PNW. 

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 15 2022, 11:12

@Andrew Bang Thank you! I will definitely look them up.

NREIG  logo
NREIG
|
Sponsored
Customizable insurance coverage with a program that’s easy to use Add, edit, and remove properties from your account any time with no minimum-earned premiums.

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 15 2022, 11:16

@Erik Estrada Thank you for the info, I did not know that hard money lenders are back up right now.

I have been working hard to cover all my bases for a hard money loan, so I’m glad to hear I’m on the right track. Beyond the foundation I’ve established, what more should I be looking for to facilitate a loan?

User Stats

882
Posts
628
Votes
Jonathan Taylor
Pro Member
  • Lender
  • Los Angeles, CA
628
Votes |
882
Posts
Jonathan Taylor
Pro Member
  • Lender
  • Los Angeles, CA
Replied Nov 15 2022, 13:52

@Brandon Teachout what are you looking to do? Private/Hard money is the more expensive lending tool out there but Fix and flip/ DSCR lenders are still lending today with no signs of slowing down. Can you elaborate on what you are needing and if theres a cheaper option, this is the market to save money in.

Investor Property Loan Logo

User Stats

2,627
Posts
790
Votes
Erik Estrada
Lender
#2 Private Lending & Conventional Mortgage Advice Contributor
  • Lender
790
Votes |
2,627
Posts
Erik Estrada
Lender
#2 Private Lending & Conventional Mortgage Advice Contributor
  • Lender
Replied Nov 15 2022, 13:54
Quote from @Brandon Teachout:

@Erik Estrada Thank you for the info, I did not know that hard money lenders are back up right now.

I have been working hard to cover all my bases for a hard money loan, so I’m glad to hear I’m on the right track. Beyond the foundation I’ve established, what more should I be looking for to facilitate a loan?


 Sent you a PM!

Fuente Funding Inc.  Logo

User Stats

39,727
Posts
58,395
Votes
Jay Hinrichs#1 All Forums Contributor
  • Real Estate Broker
  • Lake Oswego OR Summerlin, NV
58,395
Votes |
39,727
Posts
Jay Hinrichs#1 All Forums Contributor
  • Real Estate Broker
  • Lake Oswego OR Summerlin, NV
Replied Nov 15 2022, 14:53
in no particular order 

1. Iron Bridge  Portland based.
2. Conventus  SF based  lowest rates for prime borrowers that I have seen.
3. Kiavi   SF based
4.East side funding  Seattle based.

that should get your deal done !!!  I have done bizz with all of these and they are real and fund.

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 16 2022, 07:06

@Jonathan Taylor Thanks for asking! I currently have a primary that I started house hacking by converting the detached garage into a 700sqft 1b/1b unit that I rent to travel nurses, $2,500 a month.

Step two is underway with a remodel, new kitchen, floor and adding a shower to the second bathroom. I’m planning to rent the rooms out individually to travel nurses and create a house for traveling professionals. My house is less than .5 to a major hospital in the area. 4 beds x$1,200=$4,800+$2,500=$7,300 cash flow each month. This is a strategy that I’d like to repeat next to each major hospital in my area.

The property that I found and would like to purchase will be used as my new primary, and I plan to convert a large barn into a 2bed/1bath DADU to rent out as well. $3,500 month.

The rental numbers I’m basing this off of are my current unit is rented and I had multiple inquiries at that price point, and the comps on Furnished finder reflect this as well.

Does this sound like it would be a candidate for a DSCR loan, this is a new term for me.

Thanks in advance!

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 16 2022, 07:07

@Jay Hinrichs I really appreciate this! I will absolutely keep this list close and start reaching out. :)

User Stats

882
Posts
628
Votes
Jonathan Taylor
Pro Member
  • Lender
  • Los Angeles, CA
628
Votes |
882
Posts
Jonathan Taylor
Pro Member
  • Lender
  • Los Angeles, CA
Replied Nov 16 2022, 15:17

@Brandon Teachout Sounds like you are doing short term rental. Generally a lease less than one year lease is considered short term. This STR lending market is taking a beating. If your property can qualify under long term market rents, that would be your best bet. My lenders are not lending based on STR numbers. This has been happening over the past few weeks.

Investor Property Loan Logo

User Stats

422
Posts
365
Votes
John Barrett
  • Rental Property Investor
  • Everett, WA
365
Votes |
422
Posts
John Barrett
  • Rental Property Investor
  • Everett, WA
Replied Nov 16 2022, 21:10

@Brandon Teachout You might also reach out to Rain City Capital or Certain Lending. Rain City is a traditional hard money lender and Certain Lending is a DSCR lender.

John

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 17 2022, 08:25
Quote from @Jonathan Taylor:

@Brandon Teachout Sounds like you are doing short term rental. Generally a lease less than one year lease is considered short term. This STR lending market is taking a beating. If your property can qualify under long term market rents, that would be your best bet. My lenders are not lending based on STR numbers. This has been happening over the past few weeks.

So is there no difference to a lender for any lease terms under a year? There is a lot of talk around "STR" vs "Midterm rentals" so it would make sense to me that those are two different things as STR would be under 90 days and MTR would be 90+ days. Have you seen anything that would indicate new loan terms based on these mid term leases?

I understand that you're currently saying that it is STR under a year but is that subject to change based on new strategies in investing?

I have previous long term leases but I'm not sure that I will return to that model now.

Thank you!

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 17 2022, 08:26
Quote from @John Barrett:

@Brandon Teachout You might also reach out to Rain City Capital or Certain Lending. Rain City is a traditional hard money lender and Certain Lending is a DSCR lender.

John

Thank you @John Barrett! I will certainly look into Rain City Capital, they already sound like they are my neighbors! :)

Host Financial  logo
Host Financial
|
Sponsored
15% Down DSCR Loans 80% Cash Outs Mention BPFORUM500 at Quoting to Wave $500 Processing Fee

User Stats

882
Posts
628
Votes
Jonathan Taylor
Pro Member
  • Lender
  • Los Angeles, CA
628
Votes |
882
Posts
Jonathan Taylor
Pro Member
  • Lender
  • Los Angeles, CA
Replied Nov 17 2022, 10:39

@Brandon Teachout I speak from a lending perspective. STR and MTR are investor terms not lender terms. I have no lender in my network that differentiates between the two. When I submit refis, we accept one year leases or MTM leases with a history of tenant being there over a year. My opinion does not mean it is not possible and we are in a changing market but I have not seen nor have a I spoken to a lender who would take a MTR over a STR. As far a UW goes, they are one of the same.

Investor Property Loan Logo

User Stats

13
Posts
3
Votes
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
3
Votes |
13
Posts
Brandon Teachout
  • Flipper/Rehabber
  • Everett, WA
Replied Nov 17 2022, 21:47
Quote from @Jonathan Taylor:

@Brandon Teachout I speak from a lending perspective. STR and MTR are investor terms not lender terms. I have no lender in my network that differentiates between the two. When I submit refis, we accept one year leases or MTM leases with a history of tenant being there over a year. My opinion does not mean it is not possible and we are in a changing market but I have not seen nor have a I spoken to a lender who would take a MTR over a STR. As far a UW goes, they are one of the same.

@Jonathan Taylor Ah ok, that's great to know, I really appreciate the insight! :) And makes me think my next post will be commonly mistaken "lender terms vs Investor terms" haha

So would these lease terms be taken into account on all loan types as far as new purchases or refi or HELOC?

User Stats

882
Posts
1,962
Votes
Sherief Elbassuoni
  • Realtor
  • Bellevue, WA
1,962
Votes |
882
Posts
Sherief Elbassuoni
  • Realtor
  • Bellevue, WA
Replied Nov 19 2022, 05:12

@Brandon Teachout, try Certain lending, east side lending, or Flynn Family

User Stats

116
Posts
67
Votes
Marc Stevenson
  • Real Estate Agent
  • Dallas-Fort Worth, TX
67
Votes |
116
Posts
Marc Stevenson
  • Real Estate Agent
  • Dallas-Fort Worth, TX
Replied Dec 7 2022, 14:35

I use Marshall Reddick out of Ca. for all my hard money when buying here in Texas.  Ask for Levi!  They're great to work with.

User Stats

1
Posts
2
Votes
Replied Dec 7 2022, 16:18

I agree with @Marc Stevenson, Marshall Reddick is easy to work with and they have great terms.

User Stats

9,861
Posts
5,503
Votes
Eliott Elias#3 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
  • Investor
  • Austin, TX
5,503
Votes |
9,861
Posts
Eliott Elias#3 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
  • Investor
  • Austin, TX
Replied Dec 7 2022, 22:18

@Robin Simon with Easy Street 

User Stats

15
Posts
4
Votes
Yohannes Haim
  • Investor
  • Tacoma
4
Votes |
15
Posts
Yohannes Haim
  • Investor
  • Tacoma
Replied Dec 7 2022, 23:43

Raincity Capital in Kirkland, Wa. I really liked working with them.

User Stats

2,469
Posts
847
Votes
Dave Skow
  • Lender
  • Seattle, WA
847
Votes |
2,469
Posts
Dave Skow
  • Lender
  • Seattle, WA
Replied Dec 8 2022, 14:59

@Brandon Teachout- thanks -  do you  definitely need a hard money loan ?   Have you  reserached  " regular"  loan alternatives / options ?

Account Closed
  • Lender
  • CA
22
Votes |
48
Posts
Account Closed
  • Lender
  • CA
Replied Dec 9 2022, 08:51

Hi, Brandon. Would love to discuss!

User Stats

1,141
Posts
621
Votes
Jay Thomas
  • Real Estate Agent
621
Votes |
1,141
Posts
Jay Thomas
  • Real Estate Agent
Replied Dec 9 2022, 12:51

The STR market is certainly feeling the effects of recent events, and it seems that lenders are not comfortable loaning based on these rental rates. It's best to try and qualify for long-term rentals if possible because this could give you a better chance of getting approved for financing. Hopefully, this situation will improve over time as people begin to adjust to the new reality. In the meantime, it's important to stay informed and find ways to make your property more desirable to potential tenants. Good luck!

FlipSystem logo
FlipSystem
|
Sponsored
Learn From Our Team. Earn 100% of the Profits. Join our community of 500+ investors! Avg profit per flip: $14k, Avg effort per week: 4hrs

User Stats

15
Posts
4
Votes
Yohannes Haim
  • Investor
  • Tacoma
4
Votes |
15
Posts
Yohannes Haim
  • Investor
  • Tacoma
Replied Dec 15 2022, 00:33
Quote from @Dave Skow:

@Brandon Teachout- thanks -  do you  definitely need a hard money loan ?   Have you  reserached  " regular"  loan alternatives / options ?


 Hi Dave, I'm interested in learning about alternative loan options are their other options for funding distressed buildings besides are hard money and private money? 

User Stats

617
Posts
274
Votes
Michael Kinsella
  • Lender
274
Votes |
617
Posts
Replied Dec 15 2022, 10:14

A probable way to increase options quickly is...

BiggerPockets --> Network --> Hard Money Lenders --> Filter by state

Additionally, you can speak with local investors and see whom they've have good experiences with.